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10 things you need to know before the opening bell

Oct 22, 2018, 16:20 IST

Guatemalan Health Minister workers fumigate on a bridge that stretches over the Suchiate River connecting Guatemala and Mexico, in Tecun Uman, Guatemala.AP/Oliver de Ros

Here is what you need to know.

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Trump has no intention of backing down from his trade war. President Donald Trump wants "Chinese leaders to suffer more pain from his tariffs, Axios reports, citing three unnamed sources with knowledge of his private conversations.

Foreign investors are fleeing Saudi Arabia's stock market. Foreigners unloaded $1.1 billion of Saudi stocks this past week as news of journalist Jamal Khashoggi's suspected murder reached a fever pitch, Reuters reports.

China announces new tax cuts. The cuts, which go into effect beginning on January 1, 2019, allow for six new types of deductions that could save taxpayers tens of thousands of yuan a year, the South China Morning Post says.

China's "plunge-protection team" goes all in. The Shanghai Composite soared 4.09% Monday - just one trading session after Chinese policymakers rolled out a wave of measures to support stocks and household spending.

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Mnuchin isn't worried about contagion from China's slow down. "I am not concerned about that destabilizing our markets," Mnuchin told Reuters in regards to China's slowing economy, adding, "Broadly, right now, I don't see a contagion risk."

A secret weapon that has kept stocks afloat the past decade is vanishing. The "Fed put," which has kept the stock market chugging higher over the past decade, is becoming less effective, and if it ends up vanishing it could send stocks plummeting, according to Vincent Deluard, a macro strategist at INTL FCStone.

Tim Cook wants Bloomberg to retract its spy chip story. "There is no truth in their story about Apple," Cook told BuzzFeed in regards to Bloomberg's story claiming Chinese spies implanted tiny chips in some of Super Micro Computer's server motherboards that ended up being sold to the tech giant. "They need to do that right thing and retract it."

Richard Parsons resigns as interim chairman of CBS. Parsons, who replaced chairman Les Moonves following multiple sexual misconduct allegations against him, has resigned as interim chairman due to illness. He is being replaced by Strauss Zelnick, the CEO and chairman of Take-Two Interactive Software.

The Boring Company's first tunnel is coming soon. The Boring Company, which aims to lower the cost of building high-speed transit tunnels, will open its first tunnel on December 10, according to a tweet from CEO Elon Musk. It will reportedly run under Hawthorne in the Los Angeles area.

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Earnings reporting is light. Halliburton and Hasbro report ahead of the opening bell while TD Ameritrade releases its quarterly results after markets close.

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